Leverage

What is Leverage?

Leverage is a trading feature that allows you to amplify your exposure to the market by borrowing funds to increase the size of your positions. In perpetual trading, leverage is expressed as a multiplier (e.g., 2x, 10x, or 50x), representing how much more you can trade relative to the capital you have.

For example:

  • With 10x leverage, you can open a position worth 10 times the funds you have in your Perpetuals Wallet. If you have 100 USDT, you can open a position worth 1,000 USDT.


How Does Leverage Work?

Leverage enables traders to maximize their potential profits, but it also increases the risk of losses. Here's how it functions:

  • Increased Buying Power: By using leverage, you can control a much larger position than what your capital alone would allow.

  • Margin Requirement: The margin is the amount of your capital needed to open and maintain a leveraged position. For instance, if you use 10x leverage, you only need 10% of the position's value as margin.

  • Liquidation Risk: If the market moves against your position beyond a certain threshold, your position may be liquidated, resulting in the loss of your margin.


Step by Step How to Change Leverage

Step 1: Access the Perpetual Trading Page

  • Log in to your account.

  • From the top navigation menu, select Perpetuals.

Step 2: Adjust Leverage

  • Locate the Leverage section on the right-hand side of the page and click it.

  • Use the slider or input field to set your desired leverage (e.g., 10x).

Step 3: Confirm Leverage

  • Click the Confirm button to apply your leverage settings.

  • Ensure the leverage suits your trading strategy and risk tolerance.

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